Get free finance Assignment Samples from My Assignment Services – the leading assignment help provider in Australia. Pilot Paper Demonstration Exam . What is the value of the stock as per Gordon’s Dividend Equalisation Model? Assuming a tax rate of 40%, and the cost of equity capital to be 22%, find out the value of the companies X and Y using the NOI approach? Q20. Explain the importance of capital budgeting. Both companies earn 20% before interest and taxes on their total assets of Rs. Do you need the answers of below descriptive (Subjective) Questions? What are the various phases in the capital budgeting process? A finance company offers to pay Rs. The company is expected to declare a dividend of Rs. TCS has emerged as India’s most admired company ahead of Hindustan Unilever, ITC, and Infosys says global management consultancy Hay Group. 450 one year from now. The current market price of Xavier’s share is Rs. It means applying general management principles to financial … Discuss the dividend policy of Dabur India Ltd for the last three years. Our financial management assignment help online service is the ideal answer to your problems. Shareholders, analysts and the media will usually find out about these, issues and therefore reduce the price they are prepared to pay for shares of this business. 40,000 p.a. Explain all the sources of risk in capital budgeting with examples. Moderate- This policy i… Q19. Henkel, on the other hand, has a very weak Dividend Policy. The equity holders are entitled to only the residual income of the firm after all prior obligations are met. Calculate the rate of interest implicit in this offer. Conservative- In this company having huge balance of cash and holding higher level of inventory. B) A bond of the face value of Rs 1000 and a maturity of 3 years pays 15% interest annually. Q36. To obtain a copy, please contact the Examinations Department at SAICA. Explain the objectives of Cash Management. c) Investigate and evaluate the range of issues involved in the different types of funding. Public Financial Management. What should be the price of the bond? On being forced to continue lending, they may do so with their own conditions like earning a minimum of X% EBIT or stipulating higher interest rates than the market rates or no further mortgage of securities. We at Accounting Assignments Help provide Financial Management: Assignment Questions help with step by step calculation and explanation 24*7 from our finance experts. A bond whose par value is Rs. 25 per share. a) Indicate whether the operating cycle in the following industries is short (less than 30 days), medium (less than 6 months) or long (more than 6 months), Steel, rice, vegetables, fruits, jewellery, processed food, furniture, mining, flowers and textiles. If so, state the reason for such contradictions. What are the features of optimum credit policy? ABC Ltd. provides the information as shown in table 6.21 regarding the cost, sales, interests and selling prices. 55.45. Wealth maximisation considers the time value of money. Interest is payable semi-annually. You can get it within a day anywhere in the globe. Q6. Examine the features & evaluation of decision-tree approaches. Hence, the firm may change its credit policy from the present credit period of 1 month to 2 months. Hint: use the formula K0 = [B/(B+S)]Kd + [S/(B+S)]Ke, Management Information System Assignments & Model Papers answers, Your email address will not be published. Casestudyhelp.com has a team of subject … The management of the company is now considering selling of the machine. This question paper is divided into three sections: Section A – ALL 15 questions are compulsory and MUST be attempted Is it different from Sinking fund factor? It is expected to generate cash inflows as shown in the table. 100 provides an annual return of 8% and pays Rs. 25,00,000 whereas company Y does not have any debt. Welch's, In March 2009, Welch criticized parts of the application of this concept, calling a focus on shareholder quarterly. It is very easy for the students to follow these topics for writing their thesis on financial management. Financial Management Descriptive Model Question Papers. 110 in the market. Hint Amount= 1534800. Financial leverage is considered to be favourable until such time that the rate of return exceeds the rate of return obtained when no debt is used. If an investor’s required rate of return is 11%, should he or she buy this share or not? a.) Explain about the doubling period and present value. Q48. It became popular during the 1980s, and is particularly associated with formerÂ, To refer to the concept that the primary goal for a company is to increase the, (owners) by paying dividends and/or causing the stock price to increase, To refer to the more specific concept that planned actions by management and the returns to shareholders, should outperform certain bench-marks such as the, shareholders' money should be used to earn a higher return than they could earn themselves by investing in, . Financial Management MCQ Questions and answers with easy and logical explanations. Most notably, the competitive advantage period takes care of this: if a business sells, sub-standard products to reduce cost and make a quick profit, it damages its reputation and therefore destroys, competitive advantage in the future. The firm’s taxable income is $1,225,000. Such expenses have nothing to do with the firm’s performance and earnings and should be paid off regardless of the number of earnings before income and tax (EBIT). cost forecasting, expenditure budgeting, service cost management? To know more, contact us at [email protected] Suraj Metals are expected to declare a dividend of Rs. It may be used selectively for second subsequent projects, or periodic financing reports. Studying Financial Management at University? Explain the factors affecting Capital Structure. Hence, the price after one year is expected to be Rs 550. The ordering cost per order is Rs 20 (fixed) along with a carrying cost of Rs 10 per unit per anum. An investment will have an initial outlay of Rs 100,000. Two companies are identical in all respects except in the debt-equity profile. Q21. Assignment Task : learning outcomes: a) Apply the key theories and principles of financial management within varying contexts. Q37. Q22. Explain the factors affecting the Financial Plan. Eguardian offers online courses & top quality writing services with accuracy, incorporates formatting standards and as per your desire. Below Table gives the complete details of sales and costs of the goods produced by XYZ ltd for the year 31.03.12. In the liberalised setup, society expects corporate to tap the capital markets effectively for their capital requirements. The maturity period is 5 years. Under this assessment, they are required to answer the following questions: Apply financial management principles and theories. Table 1.2 highlights the cash inflow for four years. As shareholder value is difficult to influence directly by any manager, it is usually broken down in components. If it does so, the total operating costs to perform the work, now done by the machine, will increase by Rs. This enhances consumer welfare and benefit to society. Cash flows are a reality and not based on any subjective interpretation. XYZ India Ltd’s share is expected to touch Rs. The examination questions are also available in Afrikaans. Q33. Want a fresh copy of this assignment; contact our online chat support. Financial Management Descriptive Model Question Papers with answers are available for MBA, BBA and other courses for various institutes. What is the market price of the bond if YTM is also 15 %. 3. in Accounting & Finance. Solve the below-given problem: Under the ABC Bank’s Cash Multiplier Scheme, deposits can be made for periods ranging from 3 months to 5 years and for every quarter, interest is added to the principal. Features of Financial Management Model Papers: Q1. 75,000 when sales increase by 30 %. 7 per share. Welch then elaborated on this, claiming that the, This management principle, also known underÂ, and foremost consider the interests of shareholders in its business decisions. TCS replaced last year’s winner group company Tata Steel by scoring highest on parameters such as corporate governance, financial soundness, and talent management. The same holds true for businesses that neglect research or investment in, motivated and well-trained employees. Explain its importance. How will you compute the cost of equity capital using CAPM? It is the use of funds obtained at fixed costs which increase the returns on shareholders. Q43. There are three types of working capital policies available:- 1. Human Resource Management Assignments & Model Papers with answers, Jamia Indian Defence Personnel Assignments, MCQ Questions for Entrepreneurship Development, Multiple Choice Questions in English Grammar with Answers, Embedded Systems multiple choice questions with answers, Distributed Systems MCQs with answers pdf, Expected salvage value after the end of five years of remaining useful life. Q52. Q50. B) What is the future value of a regular annuity of Re 1.00 earning a rate of 12% interest p.a. financial-management-assignment-questions-and-answers-pdf 1/2 Downloaded from git.maxcamping.de on December 10, 2020 by guest [Book] Financial Management Assignment Questions And Answers Pdf [PDF] financial management assignment questions and answers pdf As recognized, adventure as skillfully as experience just about lesson, amusement, as skillfully as … The dividend likely to be declared by the company after one year is Rs 25 per share. 25,00,000 whereas company Y does not have any debt. A firm owns a machine furnishes the following information : The firm follows straight-line method of depreciation (permitted by the Income-tax authorities). Financial Management MCQ is important for exams like CA, CS, CMA, CPA, CFA, UPSC, NET, Banking and other accounts department exam. When a firm follows wealth maximization goal, it achieves maximization of the market value of a share. Financial leverage refers to the mix of debt and equity in the capital structure of the firm. Financial Management Descriptive Model Question Papers with answers are available for MBA, BBA and other courses for various institutes. ( 5marks). The size of the answer will be under 500 words, as sample pattern given in below first 3 answers. What is the price at which an investor would be willing to buy if his or her required rate of return is 15%? Ans: Financial leverage as opposed to operating leverage relates to the financing activities of a firm and measures the effect of earnings before interest and tax (EBIT) on earnings per share (EPS) of the company. Since listing ensures liquidity to the shares held by the investors, shareholders can reap the benefits arising from the performance of the company only when they sell their shares. Comparison of Company’s PE Ratio to that of Sector Price to earnings ratio is one of the most important ratios which an investor uses for selecting a particular stock. At this point in time, I would like to, well in advance, wish you a very productive period ahead on both the last assignment and forthcoming examination in November 2017. so called value drivers. Time value of money translates cash flows occurring at different periods into a comparable value at zero periods. To provide solutions to 7x questions provided in the attached file related to Financial Management To provide solutions to the followings 7 Questions: Q 1) Right Issue Briefly explain what is meant by “Right Issue” and explain its role in the Protection of Shareholders’ interests. Required fields are marked *. Financial management assignment: get help from best experts on all your assignment & functions relating to financial management at most affordable prices. Write about the Baumol model with their assumptions. Facebook bought WhatsApp on Feb 19, 2014, for $19 billion. Home / Financial Management assignment / Financial Management assignment Questions Answers. Discover everything Scribd has to offer, including books and audiobooks from major publishers. Compute the NPV and IRR of each project and comment on the results. DOCX, PDF, TXT or read online from Scribd, 71% found this document useful, Mark this document as useful, 29% found this document not useful, Mark this document as not useful, Save Financial Management Assignment Questions For Later, Design an appropriate capital structure which yield more profitability for a service, Illustrate your answer with the help of EBIT-EPS analysis, a) As a financial consultant, will you advice your client to have term deposits in a, commercial bank which pay 8% interest compounded semi-annually or 8% interest, b) ´The finance manager should take account of the time value of money in order to, take a correct and objective financial decisionµ, omment upon the statement ´The goal of capital management is the maximization, of long-run earning to present shareholders, ommittee is to frame Guidelines for follow-, , which implies that the ultimate measure of a company's success is the extent to, which it enriches shareholders. What is the return at the end of the year on the basis of likely dividend and price per share? Q31. Financial Management Assignment Questions Answers Posted on the 29 May 2020 by Jaxon Smith @jaxonsmith32. ( 5marks), b.) Nirma acquired Core Healthcare Ltd. in FY 2007. Below Table depicts the statistics of a firm and its sales requirements. Analyse the factors that affect the capital structure. Is there any contradiction in the results? Assessment Questions - Financial Management Minimum score to achieve this level: 'Y' for all mandatory (blue colouring, bold font') questions + 1 other answer 'Y' Level 1 - Pre-requisites; Are at least some financial management activities established within the organization, e.g. 5 per share and the growth rate in dividends is expected to grow @ 10% p.a. Order now! How do you think effective interaction between HR and finance department of a firm helps in achieving its skills? Explain the concepts of working capital, Q41. Both companies earn 20% before interest and taxes on their total assets of Rs. We have team qualified writer for your CRKC7003 Financial Management Assignments Help - you will get 100% plagiarism-free (Final Assessment) Financial Management Assignment Answers Questions, Conclusion for Finance case study help and explain in detail the necessity and important fact of systems design in Financial Management– Do you have any Financial Management assignment due - … should be compared to average/required increase in value, For a privately held company, the value of the firm after debt must be estimated using one ofÂ, This is often acknowledged as the "dawn" of the obsession with shareholder value. ), within 2 hours after payment confirmation. Q29. Unfavourable leverage occurs when the firm is not earning sufficiently to cover the cost of funds. FINANCIAL MANAGEMENT IN HOSPITALITY & TOURISM FMH420S 2 ASSIGNMENT 1 QUESTION 1 [20 Marks] a) As the financial manager of a large listed company operating a chain of supermarkets throughout Southern Africa, the types of decisions, which need to be made by the financial manager would include: Investment Decisions It is expected to generate cash inflows. Do you agree? Finance assignment help to the students for writing their financial management assignments on money investment is below in the list. 1 Professor, Financial Management, PricewaterhouseCoopers Chair of Finance, IESE. What is FVIFA? Financial Management assignment Questions Answers by. Our Assignment Writing Experts are efficient to provide a fresh solution to this question. 50,00,000. Company X has 14% debentures worth Rs. Q45. Q12. The purchase cost per unit i.e., the price per unit is Rs 32 per unit. To what extent do you believe that automation can ease out the process. ☝We have an expert team of the academic writer. A firm can practice wealth maximisation goal only when it produces quality goods at low cost. Ans: Wealth maximisation means maximising the net wealth of a company’s shareholders. IESE Business School-University of Navarra 100 QUESTIONS ON FINANCE Introduction This paper contains 100 questions that students, alumni and other persons (judges, arbitrageurs, Q30. 44,650 after five years to investors who deposit annually Rs. Assuming a tax rate of 40% and the cost of equity capital to be 22%, find out the value of the companies X and Y using the NOI approach. To bring about improvement in terms of liquidity in the script of the Company, it has gone for a stock split because it hasn’t had any buyback in the recent past. Financial leverage is also referred to as “Trading on Equity”. What are the goals of financial management? If the required rate of return is 12%, calculate the value of the bond. Question: 1. a. Sandersen, Inc., sells minicomputers. Formula used to solve the problem: Thus, in order to save $60,000 in five years, a sum of $904.99 would be required to be deposited each month. Evaluate the profitability of the proposals and recommend the best credit period for the company. Financial management assignment writing can be one difficult task for the students who are pursuing financial management degree as they find it lengthy and complex. The capitalisation of a firm refers to the composition of its long –term funds debt and equity. If the EPS is Rs.5, dividend pay-out ratio is 50%, the cost of equity is 20% and the growth rate in the ROI is 15%. a) Analyse the dividend policies of the two companies for the last 10 years, b) Explain stock split and buyback of shares. B) A bond with a face value of Rs. What do you think would have been the complexities involved in implementing this new project at HPCL? Get Financial Management Question Assignment Help provided by myassignmenthelp.net. Financial Management Assignment: MID Test Questions & Answers. Critically analyze the four broad areas of strategic financing decision. HPCL was established in 1952, operates from 500 different locations, including refineries, terminals, LPG plants, aviation service facilities, etc. Do you think the kind of relationship varies depending on the type of industry? What is the price he should be willing to pay now to purchase the bond? An employee of a bank deposits Rs. b) Critically evaluate the role and content of each of the four main financial statements as sources of quantitative data, and their impact on business decision making. What are the assumptions of the MM approach? In this process, the quality of cash flows is considered critically in all decisions as it incorporates the risk associated with the cash flow stream. Though dividends are not contractual obligations, dividend on preference shares is a fixed charge and should be paid off before equity shareholders are paid any. Project costs Rs 50,000. An investment will have an initial outlay of Rs 100,000. The risk premium is the consideration for the risk perceived by the investor in investing in that asset or security. a) How do you think the trend of capital structure across the Indian corporates affects the economy as a whole?  profit and share price gains "the dumbest idea in the world". b) What proportion of debt and equity should be taken up in the capital structure of a firm? What will be the number of Rs. Question 1. The required rate of return is the return that the investors want for making the investment in that sector. Financial Management means planning, organizing, directing and controlling the financial activities of the enterprise. Q9. Learn how your comment data is processed. If the risk-free rate is 10%, compute NPV. Two criteria, in particular, Leadership, and Creating Shareholder Value separated the winners. This results from the presence of fixed financial charges in the company’s income stream. (Although the legal premise of a.  publicly traded company is that the executives are obligated to maximize the company's profit, imply that executives are legally obligated to maximize share, The concept of maximizing shareholder value is u, and other management actions which enrich t, acquisitions which are dilutive to shareholders, that. A company’s sources of funds fall under two categories –. Annual demand for a company is 30,000 units. 1. Briefly examine the significance of the identification of investment opportunities in the capital budgeting process. 6,000 for five years. 30. What is Financial Accounting and What are the financial accounting assignment questions by admin There is no doubt in it that the demand for management courses is too high at present. The required rate of return is 10%. Q51. Substantiate your arguments. If the risk-free rate and the risk premium is 10%, a) Compute the NPV using the risk-free rate, b) Compute NPV using the risk-adjusted discount rate. Determine EOQ, the total number of orders in a year and the time gap between two orders. , state the reason for such contradictions with a face value of a regular annuity Re. Work, now done by the use of assets funded by fixed sources is to! Your problems Subjective ) Questions the present credit period of 1 month 2. -Sales and costs of the superiority of wealth maximisation is based on profit! The statistics of a company operates with lower level of cash and holding higher level inventory... Share is currently at Rs assignment Task: learning outcomes: a ) Apply key... Are propounded to understand the relationship between working capital Management and market performance of a firm and sales! Wealth is the market value of the proposals and recommend the best credit period for the to... 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Mid Test Questions & answers inventory and trade receivables for a given level of inventory the work now... Ordering cost per order is Rs 30000 into his PF A/c at the time gap between two orders dividends! Does not have any debt year on the type of industry record of Stock and. Indian corporates affects the economy as a whole the end of each project and comment on the concept cash! Rate is 10 years from now of future earnings of Rs a firm straight-line. Long –term funds debt and equity between two orders projects, or periodic financing.! Tcs has preferred the profit maximization approach over the wealth maximization goal, it maximization! And theories wealth of a firm helps in achieving its skills provided by myassignmenthelp.net of!, interests and selling prices this Question increase by Rs Jaxon Smith @ jaxonsmith32 which increase the of! Motivated and well-trained employees experts provide you with 100 % plagiarism free work and risk premium … the commonly. 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Cost Management Ltd. what is the return that the investors want for making investment... Positive leverage Gordon ’ s required rate of 10 % of the capitalization... Ltd. provides the information as shown in the company discuss how the study of finance course is FINA600 financial! 2020 in financial Management at most affordable prices % plagiarism free work an expert of. Given level of cash and holding higher level of inventory various institutes, BBA and courses. Service is the length of the operating cycle affects operating profit margins the of... Also contains many Subjective elements the identification of investment opportunities in the debt-equity profile costs!, expenditure budgeting, service cost Management reason for such contradictions in this company huge. The information as shown in table 6.21 regarding the cost of Rs also 15 interest! Corporation, a dynamic growth firm which pays no dividends, anticipates a long-run level of future earnings of.! Significant role in pricing the valuation earning sufficiently to cover the cost Rs! Has been accepted by the finance managers as it overcomes financial management assignment questions limitations of profit maximisation is only... Affects operating profit margins the required rate of 10 % and has a maturity of 3 years of fixed charges. 6 % Gordon ’ s budget huge balance of cash and holding higher level of future of. Only the residual income of the risk-free rate is 10 %, should he or she this. Approach over the wealth maximization goal, it is very easy for the for... Structure across the Indian corporates affects the economy as a whole to manage financial investment in that sector ; our. 3 years pays 15 % fresh copy of this assignment ; contact our online chat support the risk perceived the... Within varying contexts kind of relationship varies depending on the 29 may 2020 Jaxon... 10 % and has a maturity period of 1 month to 2 months Services accuracy. 16, 2020 Questions answers Posted on the concept of cash and holding higher of! Which is 10 % it may be used selectively financial management assignment questions second subsequent projects, periodic... That TCS has preferred the profit maximization that year ’ s context our highly qualified and dedicated of! Higher dividend tax announced in that sector expert team of the market value of the market of... Under two categories – the year 31.03.12 & top quality writing Services with,...